In the past few months, TikTok videos sporting popular crypto-related hashtags have gained over 6 billion views. However, it was also found that over 30% of crypto-related TikTok videos are misleading. It is not good news for the crypto industry and the younger generation.
TikTok videos spreading misinformation about crypto investment
Over the past few years, the rise of social media platforms has brought about a wealth of information and opportunities for people worldwide, but it has also given rise to many problems. One of those problems is the spreading of misinformation on social media platforms, particularly when it comes to trends and investment.
Recently, this problem has been commonly seen in one of the biggest social media platforms in the world, TikTok. TikTok has been widely adopted as a video-based alternative to Google searches. However, many influencers have been seen to share misleading information on the platform about crypto investment, often also trying to convince their viewers to put their or their parent’s hard-earned money into loss-making cryptocurrencies.
A recent study found that over 1 out of 3 influencers on TikTok, the go-to social media platform for the younger generation, are posting misleading videos on cryptocurrencies like BTC and crypto investments too. It highlights the need for caution when using social media platforms for investment advice.
TikTok influencers using hashtag #cryptok to post crypto-related content
As you know, a recent study shows that over 30% of crypto-related TikTok videos are misleading and promote investment schemes that promise high returns in a short time. In contrast, others promote loss-making crypto without giving any accurate information about their potential risk and rewards.
An analysis of over 1,161 such TikTok videos conducted by dappGambl revealed that the TikTok influencers used the hashtag #cryptok to post crypto-related content. The research also found that just around 1 out of every 10 videos or accounts related to crypto contains some disclaimer that warns users about the risk of investments. This is a concerning topic as many people might invest in advised crypto tokens based on misinformation, resulting in significant financial loss.
Besides that, around half of the TikTok creators creating crypto-related content were also found trying to push services to make money. Mainstream influencers like Kim Kardashian and Jake Paul and big tech companies were also previously accused of promoting crypto tokens to their millions of fans without disclosing the payment they received.
The research also disclosed that one of every 3 misleading videos on TikTok mention Bitcoin. Moreover, these TikTok videos using popular crypto-related hashtags such as crypto, cryptok, and others have gained more than 6 billion views.
Many viewers often oversee the ill-intent of their favorite social media influencers and end up trusting their content due to the high number of views, likes, and comments, resulting in their bad investment. Therefore, it is advisable for both the viewers as well as influencers to do extensive research before posting any crypto-related content or giving investment advice.
Lawsuit filed against crypto exchange Binance CEO.
As we mentioned, over 30% of crypto-related TikTok videos are misleading, and many mainstream influencers are among these TikTok creators. The story does not end here as Changpeng Zhao, popularly known as CZ, CEO of Binance, was also accused of promoting unregistered securities. On April 2, 2023, a 1 billion dollar lawsuit was also filed against him by the Moscowitz Law Firm and Boies Schiller Flexner.
What are your thoughts on the recent study which revealed that over 30% of TikTok crypto-related videos are misleading? Should TikTok do something regarding this matter? Let us know in the comments below. And, if you found our content information, share it with your family and friends.